Answered step by step
Verified Expert Solution
Question
1 Approved Answer
You are given the following limit order book for the stock of Apple Inc. No trading conditions are imposed on these limit orders. Ask Size
You are given the following limit order book for the stock of Apple Inc. No trading conditions are imposed on these limit orders.
Ask Size | Ask Price | Bid Price | Bid Size |
1000 | $102 | $95 | 1000 |
2500 | $101 | $94 | 2000 |
4000 | $100 | $93 | 1000 |
1500 | $99 | $92 | 1500 |
2500 | $98 | $91 | 4000 |
1000 | $97 | $90 | 3000 |
1000 | $96 | $89 | 2000 |
- If you submit a market order to purchase 1500 shares of the stock, what will be the price(s) and quantity at which your order can be executed? Assume that your order has the highest priority in execution. (4 points)
2. Limit order book has been used in continuous auction of stock exchanges during the trading hours. Please list ONE alternative outlet where you can trade the stocks after normal trading hours. (4 points)
Step by Step Solution
There are 3 Steps involved in it
Step: 1
Get Instant Access to Expert-Tailored Solutions
See step-by-step solutions with expert insights and AI powered tools for academic success
Step: 2
Step: 3
Ace Your Homework with AI
Get the answers you need in no time with our AI-driven, step-by-step assistance
Get Started